Nobel Prize in Economics 2025: Will Artificial Intelligence or Wealth Gap Take Center Stage
In 2025, the Nobel Prize in Economics focuses on significant contributions to understanding sustainable economic growth. Half the prize was awarded to Joel Mokyr, an economist at Northwestern University in the United States, for identifying the prerequisites for sustainable growth through technological progress. The remaining half was shared by Philippe Aghion, aged 69, and Peter Howitt, aged 79, for their joint work on the theory of economic growth via creative destruction.
Nobel Prize in Economics 2025
The ceremony took place on October 13, 2025, in Stockholm, Sweden, led by Kerstin Enflo, a professor of economic history and a Nobel committee member. John Hassler, chair of the economics award committee, emphasized that innovation plays a crucial role in driving and maintaining economic growth for the first time in history over the past two centuries.
Key Contributions of the Laureates
Joel Mokyr’s research utilized historical sources to explain the modern phenomenon of sustained economic growth, now seen as standard. His work highlights how technological advancements contribute to long-term development.
- Philippe Aghion and Peter Howitt’s Research: They explored the concept of “creative destruction,” where new, improved products lead to the decline of established ones in the market.
- This process spurs innovation but also results in the obsolescence of older products, thus impacting their commercial value.
Kerstin Enflo emphasized that the laureates remind society to remain vigilant about the factors driving economic growth, such as scientific innovation and an open, adaptable society.
Perspectives on Global Economics
Philippe Aghion warned that openness is crucial for growth and cautioned against barriers that could hinder it. He noted the importance of Europe competing with technological giants like the United States and China to maintain its economic standing.
The Nobel Prize in Context
The economics prize, introduced in 1969 by the Swedish central bank in Alfred Nobel’s memory, was not part of the original five awards. It follows recent awards in other fields, including peace, literature, chemistry, and physics.
| Field | Laureates | Contribution |
|---|---|---|
| Peace | Maria Corina Machado | Venezuelan Political Opposition |
| Literature | Laszlo Krasznahorkai | Visionary Work Amidst Apocalyptic Terror |
| Chemistry | Susumu Kitagawa, Richard Robson, Omar M. Yaghi | Development of New Molecular Structures |
| Physics | John Clarke, Michel Devoret, John M. Martinis | Discovery of Quantum Tunneling |
| Medicine | Mary E. Brunkow, Fred Ramsdell, Shimon Sakaguchi | Immune System Regulation |
This year, Joel Mokyr receives half the economics award, while Philippe Aghion and Peter Howitt share the other half. The Nobel Prize consists of a diploma, a gold medal, and 11 million Swedish kronor, approximately one million euros. The award ceremony is traditionally held on December 10.
